Liens created under Section 1203.52 shall extend to:
§ 1203.53.Lien Extends to Leasehold and Appurtenances Materials and Fixtures and Wells Located On Leasehold
Title 4. Of the Enforcement of Liens · Chapter 2.5. Oil and Gas Liens · Enacted 1959 · no amendments on record · Last verified July 29, 2026
In one sentenceSection 1203.53 describes the three categories of property an oil and gas lien reaches: the leasehold and its appurtenances (excluding earlier-recorded royalty and production-payment interests), materials and fixtures used on it, and the wells themselves along with the oil or gas produced and its proceeds.
Full Text of § 1203.53
(a) The leasehold for oil or gas purposes to which the materials or services were furnished, or for which the labor was performed, and the appurtenances thereunto belonging, exclusive of any and all royalty interest, overriding interests and production payments created by an instrument recorded prior to the date such materials or services were first furnished or such labor was first performed for which lien is claimed; and
(b) All materials and fixtures owned by the owner or owners of such leasehold and used or employed, or furnished to be used or employed in the drilling or operating of any oil or gas well located thereon; and
(c) All oil or gas wells located on such leasehold, and the oil or gas produced therefrom, and the proceeds thereof, except the interest therein owned by the owners of royalty interests, overriding royalty interests and production payments created by an instrument recorded prior to the date such materials or services were first furnished or such labor was first performed for which the lien is claimed.
Plain-English Summary
Once a lien arises under § 1203.52, this section maps out exactly what property it can reach. First, the leasehold itself and everything that belongs to it — but not royalty interests, overriding interests, or production payments created by an instrument recorded before the labor, materials, or services began.
Second, the materials and fixtures the owner has on the leasehold that were used, or intended for use, in drilling or operating a well there. Third, the wells themselves, along with any oil or gas they produce and the proceeds of that production — again carving out royalty and production-payment interests that were recorded before the work began.
The recurring exception for earlier-recorded royalty and production-payment interests matters: it protects people who bought a stake in the leasehold's production before the lien claimant ever showed up, so the lien can't retroactively reach past those pre-existing interests.
Frequently Asked Questions
Does an oil and gas lien reach royalty interests?
Not if those royalty interests were created by an instrument recorded before the labor, materials, or services giving rise to the lien were first performed or furnished.
What three categories of property does the lien attach to?
The leasehold and its appurtenances, the materials and fixtures used on it, and the wells located on it along with any oil or gas produced and its proceeds.
Are production payments protected from the lien?
Yes, when created by an instrument recorded before the work or materials giving rise to the lien began.
Amendment History
Added by Stats. 1959, Ch. 2020.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 29, 2026.
· Official source
Also known as: what property does oil and gas lien attach to californiaoil and gas lien leasehold coverage